Part Two of the "K Street Jobs Tour": Bigger, Badder and Even More Disgusting

Submitted by .Sean on February 25, 2010 - 12:02pm

When you've had your fill of the DC-area landmarks on Roy Blunt's "K Street Jobs Tour," it's time to get on a plane and visit some of the other key spots in your review of Blunt's record in Congress.  From Reagan National Airport, you'll travel to ocean side resorts where lobbyists get to play with the Congressman. Then it's off to Sugar Land, TX, home of Blunt's mentor and co-leader in passing Bush-era policies trough the House.  Finally, it's back to Missouri, a place the Congressman once knew, to see how his campaign manager, Andy Blunt, has practiced his craft.


View Roy Blunt's "K Street Jobs Tour" in a larger map

Because this portion of the K Street Jobs Tour will take you from DC to Florida to Texas to Jefferson City, a private jet is required. Fortunately, Blunt, Inc. has one at the ready.

We've got a long ways to go, so let's get started!

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STOP 1: THE RITZ CARLTON RESORT IN NAPLES, FL

In early 2009, Blunt's Senate campaign dropped almost $47,000 to entertain lobbyists and special interest donors on the beach in Naples.  The highlight of the weekend? A "Lobster Bake on the North Beach."

"Resort casual" attire, please.


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STOP 2: ATLANTIC OCEAN BEACHES - DONOR'S CHOICE!

As noted by The Post-Dispatch in October 2009, Blunt's close ties to corporate donors and lobbyists are "paying off."  In addition to padding his campaign coffers, Blunt is able to frequent "elegant venues" around the country with money corporate donors bequeath upon his PAC.  The P-D:

Blunt proved skilled at utilizing his Rely on Your Beliefs PAC as a GOP leader in the House, a position he held until this year. Since 2005, it took in nearly $4 million, according to campaign disclosure reports.

Those reports list expenses at elegant venues such as the Kiawah Island Golf Resort in South Carolina, the Raspberry Falls Golf & Hunt Club in Virginia and Sea Island Company on St. Simon's Island, Ga. A Blunt associate noted that PAC-funders paid their own way to the tony destinations, where they were treated to receptions and dinners.


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STOP 3: SUGAR LAND, TX

Roy Blunt made the contributed the largest individual donation -- $20,000 -- to Tom DeLay’s Legal Defense Fund. Read more at www.CitizensForEthics.org.

For light reading on the plane ride to and from Sugar Land, the following articles have already been placed in your seatback pocket:


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STOP 4: THE MISSOURI GOVERNOR'S OFFICE, WHERE MATT AND ANDY BLUNT WERE "NOT IMMUNE TO CONFUSING PERSONAL BENEFIT WITH PUBLIC GOOD."

During Matt Blunt's one term as Missouri Governor, Andy Blunt was "the man to see" for access to his brother.  (Bring your checkbook.) As the Post-Dispatch wrote in 2007, "politically connected insiders influence[d] the day-to-day operation of Missouri government."

Exhibit A is Andy Blunt, the governor's brother and top informal adviser, who also is one of Jefferson City's top lobbyists.

Andy Blunt and Matt Blunt were key powerbrokers in "the Republican revolution in Missouri," described in the Post-Dispatch as "socially conservative, pro-business and not immune to confusing personal benefit with public good."

It was all about access: "With the Blunt brothers and Rod Jetton on your side, all things were possible."

This year [2008], they [Republican legislators]...made Missouri safe for sleazy operators in the auto business who want to sell repaired wrecks to clueless consumers.

The Missouri Automobile Dealers Association reported spending $22,000 on contributions to legislators’ campaigns, and on wining and dining lawmakers, from October through March. One of its lobbyists: the governor’s brother, Andy Blunt. During the revolution, with the Blunt brothers and Rod Jetton on your side, all things were possible.


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STOP 5: THE OFFICES OF SCHREIMANN, RACKERS, FRANCKA & BLUNT, L.L.C.

In 2005, Andy Blunt "suddenly" became "the most popular young lobbyist in the state"...within a few years, he'd be a "lobbyist extraordinaire." The Star printed the following in June 2006:

From his first days in office, Republican Blunt has been dogged by a notion that his immediate family is cashing in on government. His brother and sister have lobbied; the governor's father, U.S. House Majority Whip Roy Blunt, married a lobbyist.

Most of the attention has focused on brother Andy, one of the brain trusts behind Blunt's successful 2004 run for governor. Andy Blunt's  lobbying portfolio has blossomed spectacularly since inauguration day 2005. He's the envy of the lobbying community.

A lot of people don't like the way all this looks, even though Andy Blunt is barred by law from lobbying the executive branch. The family factor is one contributor to the governor's woeful job-approval ratings, which have consistently ranked Matt Blunt in the bottom tier of all 50 governors.


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STOP 6: BLUNT FOR SENATE HQ

Andy Blunt has been managing the Roy Blunt for Senate campaign since it began, but the Blunt campaign has not reported paying their manager a cent.  Yet he's still cashing checks as a lobbyist -- are Blunt's corporate clients making in-kind contributions to Blunt's senate campaign? 

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STOP 7: MISSOURI HOUSE AND SENATE CHAMBERS

In 2007, Governor Matt Blunt called a special session of the General Assembly to repeal the state law against ticket scalping, a top priority of Ticketmaster.  Ticketmaster just happened to be represented by Andy Blunt at the time.

BLUNT BACKS TICKET SCALPING. HIS BROTHER APPRECIATES IT.

In a special session devoted to economic development, Gov. Matt Blunt has called on the Legislature to repeal the state's ticket scalping law.

What does ticket scalping have to do with economic development?

Jessica Robinson, the governor's spokeswoman, said the provision "will be good for tourism and economic development. It will make it easier for fans to gain access to tickets in a legal and convenient secondary market."

Labeling the issue urgent had nothing to do with the fact that the governor's brother, Andy Blunt, lobbies for Ticketmaster, Robinson said.

(Side note:  When the above-quoted story was printed in the Post-Dispatch, Lt. Governor Peter Kinder complained about the "Nixon wet dream headline" in an email to Matt Blunt's then-Chief of Staff, Ed Martin.)


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STOP 8: SARAH STEELMAN'S OLD OFFICE

Treasurer Sarah Steelman pointed to Andy Blunt by name in her call for new ethics and conflict-of-interest rules during her 2008 bid for governor. The Star:

STEELMAN SLAPS ANDY BLUNT, ROD JETTON IN ETHICS ROLLOUT

Sarah Steelman unveiled a government ethics package today and took swipes at fellow Republicans Andy Blunt and Rod Jetton in the process.

Asked if she would ever approve of a brother or sister lobbying state government the way Andy Blunt has, Steelman shook her head.

"No," the gubernatorial candidate said at a news conference in North Kansas City. "I think there's a perception of undue influence."

One of the planks of her ethics package was aimed at Jetton, the House speaker who runs a political consulting business on the side. Steelman proposed a ban on elected officials serving as political consultants.

"I think that's wrong," she said.


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STOP 9: MISSOURI GOP HEADQUARTERS

Believe it or not, "fellow Missouri Republicans raised some of the sharpest questions about Blunt's actions" to benefit Philip Morris in 2002.  The Post-Dispatch:

Fellow Missouri Republicans raised some of the sharpest questions about Blunt's actions, which would have benefited a tobacco company to which he has personal and political links.

"The thing that troubles me about it," said Rep. Kenny Hulshof, R-Mo., "is that anytime a bill is changed or modified at the 11th hour, it doesn't give me a chance to consider the merits of the proposal. Anything inserted at the end of the process sort of abrogates my responsibility as a legislator."

Rep. Todd Akin, R-Mo., said that Blunt's actions, as reported, were "not appropriate." For the legislative process to function properly, Akin said, members of Congress have to trust their colleagues and especially, party leaders must keep others informed. As whip, Blunt stands No. 3 in the GOP leadership.

"Everybody has to know what's going on," Akin said. "We can't read every part of every bill, and so we rely on trust."

Just hours after Roy Blunt assumed the role of Majority Whip,  he tried to secretly insert a provision into Homeland Security legislation that would have benefited Philip Morris, at the expense of competitors.  In addition to Blunt's close relationship to then-Philip Morris lobbyist Abigail Perlman, son Andrew Blunt lobbied on behalf of Philip Morris, a major client he picked up only four years out of law school. Notably, Altria was also Blunt’s largest campaign contributor, having donated more than $270,000 to political committees tied to him.


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STOP 10: SHOW ME ETHANOL

Treasurer Sarah Steelman's conflict-of-interest policy prevented state incentives from going to a Show Me Ethanol plant because its investors included Andy Blunt. The Columbia Daily Tribune:

[T]o her credit, [State Treasurer Sarah] Steelman prohibited state-subsidized loans to businesses with public officials or their relatives among the investors, raising an outcry, mostly within her own Republican Party. Outlawed investors included Andy Blunt, the brother of Gov. Matt Blunt, and Rep. John Quinn and would have precluded Hulshof, who earlier had invested in a biodiesel processing plant receiving state subsidies. Republican officials raised a ruckus with Steelman, but she would not back down, so in a slippery move they passed and Gov. Blunt signed a bill overturning Steelman’s policy.

Steelman calls the senators "cowards" for revising her conflict-of-interest policy by amending a tax break bill "in the middle of the night without a roll call vote." She has a point.

 

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STOP 11: LOCAL UPS STORE

In 2003, Roy Blunt inserted a provision into legislation benefiting U.S. shippers like United Parcel Service, Inc. and FedEx Corp., both of which were major campaign contributors; UPS was a client of Andrew Blunt. Citizens for Responsibility and Ethics in Washington:

In 2003, Rep. Blunt introduced a legislative provision that would have benefitted United Parcel Service (UPS) and FedEx by preventing competition from a foreign-owned shipper. Within months of inserting the provision, Rep. Blunt received almost $20,000 in campaign contributions from the two companies. In addition, Rep. Blunt's son, Andrew Blunt, worked as a lobbyist for UPS.

CREW on Blunt's Favors for UPS and FedEx:

In 2003, Rep. Blunt helped his lobbyist son Andrew by inserting a provision into the $79 billion emergency appropriation for the war in Iraq to benefit U.S. shippers like United Parcel Service, Inc. and FedEx Corp. The provision required that military cargo be carried only by companies with no more than 25% foreign ownership. UPS and FedEx were seeking to block the expansion of a foreign-owned rival’s U.S. operations. Andrew Blunt lobbies on behalf of UPS in Missouri, and UPS and FedEx have contributed at least $58,000 to Rep. Blunt since 2001.

Members of the House are prohibited from "taking any official actions for the prospect of personal gain for themselves or anyone else." 5 CFR §2635.702(a). By pushing for legislation benefitting Philip Morris and UPS, and, as a consequence, his then-girlfriend and his son, Rep. Blunt may have violated this provision.

Federal law also prohibits public officials from directly or indirectly demanding, seeking, receiving, accepting or agreeing to receive or accept anything of value in return for being influenced in the performance of an official act. If Rep. Blunt accepted campaign contributions from Philip Morris, FedEx or UPS in exchange for legislative assistance, he may have violated federal bribery laws.

Here's a 2006 editorial about Blunt's work for UPS from The Post-Dispatch:

TWEEDLEDEE, TWEEDLEDUM, TWEEDLEDOO

This is what "reform" looks like to House Republicans: Rep. Tom DeLay, R-Texas, resigns as House Majority Leader in the midst of a spreading scandal about his ties to Washington lobbyists, and the leading candidates to replace him are Roy Blunt, R-Mo., and John Boehner, R-Ohio...

Further commingling the public and private, Blunt divorced his wife in 2002 and the next year married Abigail Perlman, a lobbyist for Altria, the parent company of Philip Morris tobacco. DeLay agreed to suspend House rules so that wedding presents from lobbyists to the happy couple were free from disclosure rules. Altria gave about $203,000 to Blunt's campaign committee and leadership PACs in 2004.

About the same time, Blunt quietly inserted language into the bill creating the Department of Homeland Security that would have helped Philip Morris by making it harder to sell cigarettes over the Internet. He also amended the emergency appropriation for the Iraq war to require that shipments of war-related materiel be flown by U.S. companies like UPS. Not coincidentally, Andy Blunt was soon hired to represent Philip Morris and UPS in Jefferson City.

And here's a 2003 editorial, also from The Post-Dispatch:

BROWN AND BLUNT

Andrew Blunt would seem an unlikely choice to be a legislative lobbyist for a $30 billion Atlanta-based worldwide express corporation. After all, he is only 27 years old, fresh out of the University of Missouri School of Law, and a newly-minted partner in a new law firm in distant Jefferson City, Mo.

But according to The Wall Street Journal, Mr. Blunt had a special attraction for United Parcel Service, Inc., when UPS decided to hire him as a lobbyist. Mr. Blunt's father is the third-ranking Republican in the United States House of Representatives, where -- by the sheerest of coincidences -- UPS had a key piece of legislation pending.

What can Brown do for you? It can give your kid a job. And what can you do for Brown? If you're Majority Whip Roy Blunt, R-Stafford, you can quietly urge Senate Appropriations Committee Chairman Ted Stevens, R-Alaska, to secretly amend the $79 billion emergency appropriation for the war in Iraq in a way that benefits U.S. shippers like UPS and FedEx Corp.


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STOP 12: MIZZOU AND MISSOURI STATE CAMPUSES -- WHAT NONPARTISAN EXPERTS HAVE SAID ABOUT BLUNT, INC.

University of Missouri-Columbia political scientist David Webber on Andy Blunt's lobbying practice talks to the Associated Press:

Asked whether he thought the Blunt name had helped his son develop his client list, Roy Blunt said: "I hope it doesn't hurt. None of my children seemed to be disadvantaged in Jefferson City by who they were."

David Webber, a political scientist at the University of Missouri-Columbia and a longtime Capitol observer, said that Andy Blunt's quick success at landing major clients causes him concern.

"It certainly makes me nervous," Webber said. "Lobbying is all about access, and I'm sure his clients know what his last name is and know that he sees his brother and father for family dinners."


Missouri State Professor George Connor talks to The Star:

BLUNT FAMILY'S INFLUENCE RAISES EYEBROWS

The hot name in Missouri lobbying circles these days? Try "Blunt."

Since the November election, Andy Blunt , the 28-year-old brother of Republican Gov. Matt Blunt, has added half a dozen corporate clients to a lobbying portfolio that already included Miller Brewing Co., SBC Communications, UPS, Philip Morris and the Missouri Hospital Association.

In October, sister Amy Blunt, 32, was hired to work in the government affairs office of the prominent Kansas City law firm Blackwell Sanders Peper Martin. She is not registered as a lobbyist, but she said she may do some state lobbying in the future...

George Connor, a political scientist at Southwest Missouri State University in Springfield, said the potential for a conflict of interest is great, because actions taken by the governor could wind up padding the pocketbook of his brother.

"If you look at his (Andy Blunt's) portfolio of clients, he'd be hard-pressed to find somebody who didn't have an interest in the agenda being pushed by his brother," Connor said.

He said Andy Blunt's formal declaration that he won't lobby the executive branch only goes so far.

"Even when he's lobbying the legislature, he's indirectly lobbying the executive branch," Connor said. "It raises flags."


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COMPLIMENTARY READING MATERIALS FOR YOUR TRIP

While waiting for your champagne to chill, a complementary sampler of articles from the Roy Blunt, Inc. archives has been placed in your seatback pocket.  While the little people (i.e., regular voters) much be repulsed the contents found therein, you know better.  As someone who just might be looking for special access to a man who wants to be a U.S. Senator, you'll find Blunt's pattern of behavior to be a delightful indication of what the future could hold.

Begin your trip down memory lane with this piece from Thomas B. Edsall, a journalist who chronicled some of Blunt's greatest exploits for the Washington Post.  A taste: 

SAME OLD PARTY

...Roy Blunt embodies the insidious, half-legal corruption that has permeated the G.O.P. majority since 1995. Blunt’s election as minority whip, by a 137-to-57 margin, was a defiant Republican rejection of calls to clean up their act. Warnings by Blunt’s challenger, John Shadegg of Arizona — “We ceded our reform-minded principles in exchange for a ...tighter grip on power” — went unheeded.

In 1998, DeLay put Blunt on the leadership ladder, making him chief deputy whip. Blunt modeled himself on DeLay, creating an identical network of state and federal political committees that raised money from the same lobbyists, corporations and trade associations that financed what became known as DeLay Inc.

If one political operation captured the essence of DeLay’s leadership, it was the Republican takeover of Washington’s influence-peddling industry. ...

In 2004, Blunt turned his lobbyist team loose to win passage of a bill eliminating a $50 billion corporate tax break that the World Trade Organization had ruled in violation of international agreements. These lobbyists inserted $143 billion worth of new corporate tax breaks, turning the bill into a Fortune 500 Christmas tree....

Blunt [in contrast to mentor Tom Delay] is bland, unctuous and adept at keeping a low profile. But there is plenty to see. After divorcing his wife of 35 years to marry a tobacco lobbyist, Abigail Perlman, he cleared his second marriage with the House Ethics Committee to get “a waiver of the limitations of the gift rule to allow me to accept gifts in connection with my wedding.”

Blunt unblushingly told the Heritage Foundation this month that Republicans “have allowed our efforts to defend traditional values to be defined as little more than a politically driven effort to appease ‘family groups.’ ”

For Blunt, the blurring of boundaries is a family tradition. His son Matt is the governor of Missouri. Another son, Andrew, is one of the state’s top lobbyists. Almost all Altria subsidiaries — Kraft, Miller Brewing, Philip Morris (remember Abigail Perlman) — hired Andy Blunt, along with other financial backers of Roy Blunt.

In Blunt, House Republicans have kept on display a top official reminding voters why they cast ballots for Democrats on Nov. 7. After winning the post of minority whip last week, Blunt declared that the Republicans had “come together ... frankly, to get rid of the bad habits that we may have developed in 12 years in the majority.” This is precisely the opposite of what they actually did, which was to affirm their bad habits. The burden on the Democrats will be to make the elusive Blunt a nationally recognized figure.

And here's one of Edsall's stories from 2005:

HOUSE MAJORITY WHIP EXERTS INFLUENCE BY WAY OF K STREET

Family Benefits

The network of political committees with ties to Roy Blunt is complex and elaborate. His campaign committee has raised $8.58 million since 1996. His leadership committee, the Rely on Your Beliefs Fund (ROYB Fund), has raised $1.68 million since 2000. A separate ROYB 527 Committee collected $1.67 million from 2000 through 2002.

Over the years, seven companies with business before Congress stand out as the most reliable Blunt supporters: Altria, SBC Communications, Union Pacific, Burlington Northern, Verizon, United Parcel Service and BellSouth have together given more than $1.2 million to political committees tied to Blunt. Altria is the largest contributor, giving more than $270,000. Blunt, a vocal social conservative, divorced Roseann Blunt, his first wife, to marry Altria lobbyist Abigail Perlman in October 2003.

Blunt's lobbyist son Andrew includes among his clients Altria-owned Kraft Foods, Philip Morris, and 36 percent Altria-owned Miller Brewing, along with SBC Missouri, Burlington Northern and UPS. Hartley has among his clients Verizon (paying $320,000 a year), SBC ($120,000) and BellSouth ($120,000).

Matt Blunt, the governor, has awarded one of the few remaining patronage plums in the state -- franchises to collect fees for driver's license renewals, tax payments for new cars and processing motor vehicle titles and registrations that can provide recipients with as much as $1 million over four years -- to the wife of U.S. Attorney Todd P. Graves, Tracy Graves, and to Graves's brother-in-law, Todd Bartles. The U.S. attorney's office has jurisdiction over Blunt's congressional district and the state capitol.  

There is also this 2005 story from The New York Times about Blunt's very close ties to K Street lobbyists.

WHEN LAWMAKING AND LOBBYING ARE ALL IN THE FAMILY

Perhaps it was inevitable in a city where passion and power live side by side: people who start as colleagues or contemporaries often wind up cohabitating. Journalists marry spokespeople. Government workers marry activists. Lawmakers marry lobbyists.

It's the last category that often leads government watchdogs to grind their teeth. How can a member of Congress possibly share a bed and a bank account with a member of the persuasion industry without a life laced by conflicts of interest?

"This is way up there on the unseemly scale," said Frank Clemente, director of Public Citizen's Congress Watch...

Mr. Blunt's wife is Abigail Perlman, a lobbyist for Altria Group, the parent company of the cigarette maker Philip Morris. One son, Andrew Blunt, is a state-level lobbyist for a Missouri law firm, whose client list includes Altria. Another son, Matt Blunt, is the governor of Missouri.

Mr. Blunt's family ties have raised anew the questions that have been kicked around Washington for years about the propriety of making the business of government a family business.

If you're looking for a story with more Midwestern flavor, here's an excerpt from a 2005 editorial from The Post-Dispatch titled "Family Traditions" about Andy Blunt, son to the Congressman and curiously-unpaid campaign manager for Blunt's Senate campaign. 

Andy Blunt's meteoric rise as a lobbyist demonstrates the cachet of the Blunt name. Four years out of the University of Missouri Law School, he has amassed a client list that compares favorably with those of Jefferson City lobbying legends John Britton and John E. Bardgett Jr. Among his clients are AmerenUE; SBC-Missouri; BNSF Railway Co.; Farmer Companies (insurance); the Missouri Auto Dealers Association; the Missouri Hospital Association; several firms that have health services contracts with the state; Kraft Foods Global; Miller Brewing Co.; Philip Morris Co., and UPS.

Some of his bigger clients (AmerenUE, BNSF and the auto dealers) signed up after Matt Blunt became governor. He got others (Kraft, Philip Morris, UPS) the old-fashioned way: from his father. U.S. Rep. Roy Blunt, R-Strafford, the House whip, did a couple of legislative favors for UPS and Philip Morris, and in October 2003, married Abigail Perlman, then a top lobbyist for Philip Morris. Ms. Perlman now works for Kraft, which, like Philip Morris, is a subsidiary of Altria Corp. Altria also owns about 34 percent of Miller Brewing, another of ANDY BLUNT's clients.

None of this is illegal, but it points to a certain family myopia when it comes to the line between public and private interests. Other examples:

  • When he and Ms. Perlman were married, Roy Blunt obtained a waiver from the House Ethics Committee from "all financial reporting requirements regarding all wedding gifts." Want to give a nice tchotske to the House Whip without disclosing how much it cost? No problem.
  • Gov. Blunt proudly boasts of saving the state $480 an hour by flying in private planes paid for by his political fund instead of using state aircraft on the taxpayers' dime. That's cheaper for the people, but that also enables him to avoid disclosing where he's flying and with whom.
  • In a dispute over disclosing financial risks, Secretary of State Robin Carnahan, Democrat, has suspended the broker-dealer license of Waddell and Reed Financial Corp. of Kansas City. But the state's Department of Insurance, part of Gov. Blunt's executive branch, says it has jurisdiction in the case, not Ms. Carnahan. To defend itself, Waddell and Reed has hired two law firms -- Andrew Blunt is a partner in one and Amy Blunt is an associate in the other.

Again, it should be emphasized that none of this is illegal. Yet if the public is to have confidence in the integrity of its government, appearances are important. And it appears that Missouri has a problem.

The St. Louis Business Journal ran the following informative piece in 2006 on the Blunt's influence peddling dynasty. 

BLUNT FORCE: CAPITOL CONNECTIONS FUEL GOP DYNASTY

[...] On Dec. 9. 2004, a month before Matt Blunt was sworn in as governor, Andy Blunt's firm hired Jay Reichard, who is registered to lobby all branches of state government, including the executive. Reichard and Andy Blunt share 17 clients, 13 of which Reichard picked up within days of Gov. Blunt's inauguration, according to lobbyist registrations filed with the Missouri Ethics Commission...

The scenario allows the Blunts to say their political relationship remains at arm's length, at least technically. Yet the practical reality of their sibling relationship and political alignment -- Andy was chairman of Matt's gubernatorial campaign and his inauguration -- hangs over Andy Blunt constantly and is acknowledged by both Republicans and Democrats.

"He's the governor's brother," said a veteran Jefferson City lobbyist who spoke on condition of anonymity. "It's like having the governor's wife saying, 'I'm not going to talk to the governor.' Nobody believes it. He (Andy Blunt) has landed some big accounts, and I'd be lying to you if I didn't say there was some resentment. A lot of guys lost accounts to Andy, and it's not because the other guys didn't do a good job." ...

Nearly all reached by the Business Journal agreed, however, that Blunt's family relationships have been a key ingredient to his success. "In politics, perception is reality," the veteran lobbyist said. "The conventional wisdom is that he talks to his brother. Whether he does or not, he benefits from that perception."

 

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Phew!  You're going to a need a vacation from this vacation!

 

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THE FULL "K STREET JOBS TOUR"


View Roy Blunt's "K Street Jobs Tour" in a larger map

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